Data through October 2012 from the Standard & Poor’s/Case-Shiller home price indices paints a not-too-pretty picture for Chicago-area residential real estate. Sandra Guy wrote on the Chicago Sun-Times website yesterday:
The Chicago-area housing market continued to lag national numbers, posting the largest non-seasonally adjusted single-home price decline — 1.5 percent from September to October and 1.3 percent year-over-year — of 20 major cities in the Standard & Poor’s/Case-Shiller national home price index released Wednesday.
Of the 20 cities, 12 saw housing prices drop.
(Editor’s note: Italics added for emphasis)
Recent rising prices have led to claims the U.S. housing market is in recovery-mode.
However, doubts remain. AnnaMaria Andriotis reported on the MarketWatch website on December 20:
But experts say that spike is largely due to the limited number of homes on the market. There were about two million existing homes available for sale at the end of November, which equates to the lowest housing supply since September 2005, according to the NAR. With fewer homes to choose from, buyers intent on purchasing a property are more inclined to offer a higher price or engage in bidding wars, housing analysts say, which ultimately drives prices up.
The problem is this limited inventory underscores a weakness in the housing market: Many sellers have resisted putting their home up for sale, out of concern that it will sell for far less than they paid for it, says Jack McCabe, an independent housing analyst in Deerfield Beach, Fla. That’s set off a domino effect. Because they’ve held off, supply has remained limited, in turn pushing prices up. “Prices have gone up in the last year because of this temporary, artificial market,” he says…
Separately, in some neighborhoods, median or average sales prices are rising because the mix of homes selling has been shifting toward higher-end, more expensive properties — not necessarily because the value of the typical home is rising, says Jed Kolko, chief economist at Trulia.com, a real-estate listing site. Sales of existing single-family homes priced at $1 million or more increased 52% in November from a year ago, a trend that’s been in play for most of the year, according to the NAR.
(Editor’s note: Italics added for emphasis)
More later on these doubts…
By Christopher E. Hill, Editor
Survival And Prosperity (http://www.survivalandprosperity.com)
Guy, Sandra. “Chicago-area home prices see steepest drop nationwide: report.” Chicago Sun-Times. 26 Dec. 2012. (http://www.suntimes.com/business/17230482-420/chicago-area-home-prices-see-steepest-drop-nationwide-report.html). 27 Dec. 2012.
Andriotis, AnnaMaria. “The real meaning of rising home prices.” MarketWatch. 20 Dec. 2012. (http://www.marketwatch.com/story/the-real-meaning-of-rising-home-prices-2012-12-20). 27 Dec. 2012.
No comments yet.
Leave a comment
Christopher E. Hill, Editor
87,086 Unique Visitors in 2013
360,266 Unique Visitors from
Please Rate this Blog HERE
- JM Bullion’s 2014 Silver Eagle $2.45 Over Spot Any Quantity Sale Ends Tonight
- More Convicts To Be Released Early Nationwide
- Chicago Police Superintendent Garry McCarthy Keeps Pushing For More Gun ‘Control’ Laws
- Project Prepper, Part 27: Transferring Pre-Owned Gear, Supplies To The New Everyday Carry Bag
- Video: SHTF In Venezuela
- IEMA: First-Ever America’s PrepareAthon! To Be Held On April 30
- Go-To Gear For When The Lights Go Out
- Status Of West Coast Earthquake Early Warning System
- Chicago-Area Lakes Hit By Bad Fish Kill
- Chicago Gangs Completely Out Of Control?
- Editor on Video: SHTF In Venezuela
- peter G on Video: SHTF In Venezuela
- Cei mai multi dintre noi nu sintem pregatiti pentru situatia economica cataclismica care va veni. Putem face ceva sau vom fi victime sigure? | Lupul Dacic on The Percentage Of Adult Americans That Own Investment Gold Is…
- The nation of America is folding up under divine chastisement | on The Percentage Of Adult Americans That Own Investment Gold Is…
- Editor on Springfield, Illinois, Named America’s 3rd Most Dangerous City
- Erric on Springfield, Illinois, Named America’s 3rd Most Dangerous City
- GLOBAL IMPLOSION AND WHY THE INTERNATIONAL MONETARY FUND JUST LIED TO THE ENTIRE WORLD | sreaves32 on The Percentage Of Adult Americans That Own Investment Gold Is…
- Guest Post: 16 Signs That Most Americans Are Not Prepared For The Coming Economic Collapse on The Percentage Of Adult Americans That Own Investment Gold Is…
- 16 Signs That Most Americans Are NOT PREPARED For The Coming Economic Collapse | 2012: What's the 'real' truth? on The Percentage Of Adult Americans That Own Investment Gold Is…
- A Pocketful of Mumbles | OccurrencesDomesticForeign on The Percentage Of Adult Americans That Own Investment Gold Is…